Credit Suisse has revealed a $4.7bn loss following the collapse of US-based hedge fund Archegos Capital.

The Swiss lender said it is likely to report a pretax loss of $959m for the first quarter of this year, after the losses.

Following the development, the bank has suspended its CHF1.5bn share buyback programme and is cutting its dividend by two-thirds to CHF0.10 per share. It has also nixed bonus for its top executives in a bid to protect the capital.

In relation to the Archegos collapse, the CEO of investment bank Brian Chin and chief risk and compliance officer Lara Warner will leave the bank.

Credit Suisse CEO Thomas Gottstein said in a statement: “The significant loss in our Prime Services business relating to the failure of a US-based hedge fund is unacceptable.

“In combination with the recent issues around the supply chain finance funds, I recognize that these cases have caused significant concern amongst all our stakeholders. Together with the Board of Directors, we are fully committed to addressing these situations. Serious lessons will be learned.”

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The Archegos fallout comes just over a month after the collapse of Greensill Capital hit the Swiss wealth manager.

Credit Sussie, which was a key source of funding for the British financial services firm, was associated with selling around $10bn worth of Greensill-created securities through its asset management unit.

Last month, reports said that the bank is investigating the role of its executive board members, including Gottstein, as part of its probe related to the Greensill fund scandal.

Following the scandal, the bank decided to separate its asset management business from its international wealth